Delphi Technologies hires Richard Dauch as top executive

New CEO will earn base salary of $1.1 million with target annual bonus in 2019 of nearly $1.4 million

Delphi Technologies PLC

Richard F. Dauch, CEO, Delphi Technologies

Delphi Technologies plc on Monday named Richard Dauch as its new CEO.

Dauch, 57, replaces Liam Butterworth, who stepped down from the role in October after 10 months. Board director Hari Nair has served as the Troy-based supplier's interim CEO since.

The son of the late American Axle & Manufacturing Inc. founder Dick Dauch joins Delphi from wheel-systems supplier Accuride Corp., where he served as president and CEO since 2011. Prior to Accuride, he worked at his father's supplier for 13 years, most recently as American Axle's executive vice president of worldwide manufacturing.

Dick Dauch died in 2013 and was succeeded by his other son, David Dauch, as the company's top executive.

"(Dauch) is a strong executive with more than 25 years of industry experience including 10 years serving in CEO roles with private and publicly traded companies," Timothy Manganello, nonexecutive chairman of the company's board of directors, said in a news release. "Rick's deep industry expertise, leadership qualities and track record of driving operational excellence and profitable growth make him an outstanding choice to lead Delphi Technologies during a time of dynamic industry change."

Dauch will earn a base salary of $1.1 million with a target annual bonus in 2019 of nearly $1.4 million, among other compensation such as stock awards and options.

Dauch earned a bachelor's degree from the U.S. Military Academy at West Point, where he played football. He then spent seven years as an officer in the U.S. Army. He also earned a master's degree from the Massachusetts Institute of Technology.

Delphi Technologies, the spun-off former powertrain unit of Delphi Automotive, reported lower revenue and sharply lower net income for the third quarter last year, largely due to factors that hit other supplier results, especially an unexpected decline in sales in China.

The company expects more headwinds in 2019, including flat global production, falling demand for diesel passenger cars and high capital expenditures.

Before its spinoff in December 2017, Delphi Technologies operated as the powertrain systems segment of Delphi Automotive. Delphi Automotive spun off its electronics operation as a separate company, Aptiv, based in Dublin.

Delphi Technologies ranks No. 58 on Automotive News' list of the top 100 global parts suppliers, with parts sales to automakers worldwide of $3.9 billion in 2017, based on what its sales would have been as a separate company.